Browsing through your Google AdWords account, you notice some of your keywords are not showing due to “low search volume”. Hovering your mouse over the speech bubble, the ad diagnostic tool pops up:

 


 
According to Google AdWords Help, your keyword is not showing because not enough people are searching for your keyword.

“Low search volume” keywords are keywords associated with very little search traffic on Google properties. In which case, we suspend your keyword. This state is only temporary, and these keywords will be reactivated if we find that they could start delivering traffic.

So just how much search traffic is “very little search traffic”?

To find out, I decided to count every “low search volume” keyword in an AdWords account over a 3 month period. Of the 2,823 keywords that received at least one impression, 804 keywords (28.5%) were “low search volume”. That’s over a quarter of keywords.

Although most of these “low search volume” keywords were in fact that, low search volume, some had a relatively high number of searches: 108, 117, 126, 135, 156 and even 573 (see graph below). I’d hardly call 573 searches “low search volume”.

 

What’s more, although “low search volume” keywords accounted for only 3.60% of total impressions, they generated a disproportionately high 5.33% of total clicks. Their CTR was 1.72%, compared to only 1.17% for normal search volume keywords, despite a similar average position of 2.63 and 2.70 respectively. That’s a higher CTR for “low search volume keywords” by almost 50%.

5% doesn’t sound like much. So is there any point having “low search volume” keywords in your AdWords account? Or long-tails at all for that matter?

Definitely. My advice is to ignore Google’s “low search volume” advice and continue with your long-tail keyword strategy. Focusing on the long-tail will of course generate a large amount of keywords that will rarely be searched, if at all. But as I point out in 5 Benefits of Long-Tail Keywords, infrequently searched-for keywords generally have less competition, lower CPCs, higher CTRs and higher conversion rates than their short-tailed rivals. En masse, long-tail keywords can be extremely profitable.

Call me a cynic, but I think the whole point of the “low search volume” feature is a means to scare advertisers away from those cheaper, long-tail keywords, and towards more expensive, short-tails in a effort to maximise Google’s revenue (a view shared by Eloi Casali in the comments section of PPCProz’s low search volume post in June). I can’t really see any practical use for the advertiser.

 

There’s been a lot of talk about long-tail keywords in pay per click (PPC). You could say it started in the entertainment industry with Chris Anderson’s influential Long Tail article in 2004, but it wasn’t long before the concept became mainstream among search marketers.

Long-tail keywords are those low-volume, obscure, infrequently searched-for keywords that turn up in your search query reports. ‘Cheap remortgage for bad credit history’ is one example of a long-tail keyword. ‘Remortgages’ is not.

The theory goes like this:

• Long-tail keywords, en masse, can provide significant search volume (high impressions)
• Long-tail keywords have less competition than generic keywords (lower cost per click (CPC), higher click-through rate (CTR))
• Long-tail keywords are more specific than generic keywords, so ads can be better tailored to match the searcher’s needs (higher CTR, higher Quality Score, less wastage from irrelevant searches)
• People making long-tail searches are often further along in the buying cycle and more willing to buy than people making generic searches (higher conversion rate)
• These lower CPCs, higher CTRs and higher conversion rates mean long-tail keywords can be extremely profitable (lower cost per acquisition (CPA))

So are long-tail keywords all they are cracked up to be? Are they worth all the time, effort and commitment they require?

In short: yes.

Over the course of this article you’ll see exactly how search volume, CTR, CPCs, average position, conversion rate and CPA differs for searches containing different numbers of words, and how long-tail keywords can benefit your business immensely. Using three months of real Google AdWords campaign data, you’ll see that long-tail searches outperform generic short-tail searches on almost every measure, and provide a great opportunity to connect with customers which is generally not being taken by the majority of advertisers.

1. Search Volume (Impressions)

Let’s start with search volume. Do people make long-tail searches in any meaningful volume?

Look at the example below. Although 1 and 2-word searches may be under-represented in the example (the account has a natural bias towards keywords of at least 3 words), it is clear that as the number of words in a search query increases beyond 3, the number of searches made using that that number of words falls.

This isn’t surprising. You would of course expect search volume to drop as searches start becoming obscure and lengthy. It is little surprise that more people are making shorter searches such as as ‘cheap televisions Brisbane’ (3 words) instead of longer searches such as ‘low cost Sony Bravia television shops in Brisbane’ (8 words).

What is worth noting, however, is the power of these long-tail keywords en masse. Added together, searches of 5 words or more accounted for 21% of all impressions. While long-tail keywords may be individually insignificant, a PPC campaign with thousands of long-tails can be a serious source of additional traffic.

Fact: Long-tail searches have significant search volume

2. Click-Through Rate (CTR)

Another common belief among search marketers is that click-through rate (CTR) is higher for long-tail keywords. Their reasoning being:

1. Long-tail keywords have less competition, so there is a higher chance someone will click your ad
2. Long-tail keywords are more specific in their requirements, so you can write a more targeted and relevant ad to encourage the searcher to click

While the first point is perhaps rather tenuous (Google’s broad-matching mechanism often sends long-tail searches to advertisers’ short-tail keywords), the second point is definitely true. If someone searches for ‘cheap Sony Bravia 46 inch televisions’, and your ad mentions the words ‘Sony Bravia’, ’46 inch’ and ‘televisions’, perhaps with latest prices for that model, it makes sense that your ad will be more appealing than a generic ‘Sony televisions’ ad.

Let’s have a look at CTR for searches of different word counts. While searches of 1, 2 and 3 words have a relatively low CTR, CTR appears to increase significantly for searches of at least 4 words. CTR, it seems, is considerably stronger for long-tail keywords.

Fact: Long-tail keywords can achieve a higher CTR, as long as ads are tailored to the search query

3. Cost Per Click (CPC) & Average Position

Many search marketers also believe long-tail keywords are cheaper. They have less competition, fewer people bidding on them to drive up their prices, so CPCs will be kept relatively low.

So are long-tail keywords cheaper than generic keywords?

To answer this question, it is important to bring average position into consideration. Since CPCs and ad rankings are closely connected (a higher CPC typically means higher ad ranking), both average position and CPCs need to be considered together.

First, let’s look at CPCs. For searches of 13 words or more, CPCs do tend to be cheaper. For searches under 13 words, however, CPCs tend to be very similar. A 9-word search query costs pretty much the same price as a 4-word search query. CPCs do fall very slightly as word length increases from 3 to 12 words, but I would hardly call that significant.

Now let’s look at average position (a higher bar represents a higher ad ranking). For 1, 2 and 3-word searches, ad ranking is relatively low, and ads are appearing near the bottom of the first page. As word length increases, however, ads are shown significantly higher. They are appearing in the top positions.

So although CPCs were relatively similar for searches of all word counts, long-tails were often shown in a higher position.

When you think about it, this makes perfect sense. When you set a maximum CPC bid for each keyword, Google will show you as high as possible without going over your maximum bid. If long tail keywords are cheaper, Google won’t necessarily charge you less. It is in their interest to charge you as much as possible, so they will instead keep your CPCs close to your maximum bid but show you in a higher position.

Fact: Long-tail keywords are cheaper for the same ad ranking, or the same price for a higher ad ranking

4. Conversion Rate

So we’ve seen that long-tail keywords have a significant search volume. They exhibit a strong CTR and are often cheaper than their short-tailed rivals. But clicks are no good if people don’t engage with your site or part with their cash. It’s often conversion that really matters.

So are long-tail searches more likely to convert?

Many search marketers seem to think so – their reasoning being that people who make longer, more specific searches have already done their research and know exactly what they want. They are further along in the buying cycle so are more likely to open their wallet.

Let’s have a look at conversion rate for searches of different word counts.

It’s a pretty convincing trend. As the number of words increases, so does conversion rate.

Fact: Long-tail keywords have a higher conversion rate

5. Cost Per Acquisition (CPA)

Finally, what does this mean for CPA, profitability, return on investment (ROI)? Is it cheaper to acquire a customer through the long-tail?

Let’s have a look at the CPA column.

Again, there appears to be a clear trend between word count and CPA. Conversions from long-tail searches seem to be cheaper than conversions from generic, short-tail searches.

And it’s not just one or two conversions which are coming through long-tail searches, either. Remember how long-tails of 5 words or more accounted for 21% of all searches? Well, those 21% of long-tails generated a massive 40.5% of all conversions.

Fact: Long-tail keywords have a lower cost per acquisition and can be extremely profitable

Long-Tails Are Your Friend

As we have seen, the benefits of long-tail keywords are many:

1. Significant search volume
2. Higher CTR
3. Cheaper CPCs (or higher ad ranking)
4. Higher conversion rate
5. Lower CPA

Quite simply, they outperform generic, short-tail keywords on every measure.

Don’t get me wrong, long-tails shouldn’t replace your short-tail keywords. Short-tails, if used wisely, are great for building interest and awareness at the early stages of the buying cycle. Your long-tail keyword strategy should complement your short-tail strategy.

So by all means continue showing on your high-volume keywords – after all, they may be your bread and butter that keep your business afloat. But the next time you work on you AdWords account, spend some time researching relevant long-tail keywords. Try to think what people are actually searching for and use keyword tools to help. Structure your keywords into closely-themed ad groups and tailor your ads and landing pages to cater for these specialised long-tail searches.

Your Moment to Shine

Of course, researching thousands of keywords and structuring them into hundreds of closely-themed ad groups, each with tailored ads and landing pages, is by no means easy. It will take considerable time, effort and dedication, not to mention the many hours of keyword and search query analysis, ad group expansion and ad copy testing once your keywords are live.

But think about your target audience for a minute. They are calling out for someone to meet their needs in a personalised and relevant way. It’s the age of social interaction, and people are sick of seeing generic ad after generic ad. And despite many advertisers claiming they are “doing this already”, consumers are not currently getting a personalised and relevant service (see Relevancy: The Holy Grail of PPC).

If you can be the advertiser who understands your audience using search query analysis, if you can cater for their individual needs with relevant ads and landing pages, if you can be the one who makes a mark in your industry, customers will reward you with their wallet. It’s your opportunity to stand out from the competition. So take it.

I’m going to focus my first post on what I believe is the most fundamental concept in PPC: relevancy. Giving users what they are looking for. Directing them to where they want to go. Answering their questions.

Why? Because paid search relevancy can pay massive dividends. Not only is a highly relevant pay per click (PPC) campaign more likely to receive a higher click-through rate (CTR), higher Quality Score, higher ad rankings, lower costs per click (CPC) and benefit from less wasted spend, but users will more qualified so bounce rates are likely to fall (the number of people who immediately ‘bounce’ back), conversion rates increase and return on investment (ROI) will ultimately improve. So a highly relevant paid search campaign is definitely a good thing.

To achieve PPC relevancy, keywords, ads and landing pages need to work together in tandem. Messages in ads need to match users’ search queries, landing pages need to match messages in ads and landing pages need to relate to users’ original searches. (For a more detailed explanation of how each component interlinks, you might like to consult Acquisio’s great article on AdWords relevancy and Quality Score).

Closely matching ads and landing pages to keywords to encourage only targeted and qualified users to visit your site is a simple theory, and one that’s been around since the dawn of Google AdWords.

So nothing new then – does that mean relevancy is no longer relevant?

Well, not exactly, for two reasons…

Impossible to achieve

Firstly, relevancy can never be achieved in its perfect form. There will always be ways a PPC advertiser can improve his keyword selection, negative keyword list, match type strategy, ad copy matching and landing page selection to give the user a more engaging and personalised experience. Just like there will never be a 10.0 film on IMDB, there will never be a perfectly relevant PPC campaign. One can only strive towards perfection – towards the Holy Grail of relevancy.

Higher expectations

Secondly, the bar of relevancy is constantly being raised. As search engine continually improve their algorithms to provide users with more relevant organic search results, so paid search ads will have to improve to keep up with the growing expectations of searchers. Ads which might have been considered ‘quite relevant’ last year may be considered ‘not so relevant’ now. Ads which sufficiently answer the questions of searchers today may not do so next year when people start to demand a more personalized and tailored service.

So not only is the Holy Grail of relevancy (a perfectly relevant campaign) impossible to achieve, but it is getting more and more impossible to achieve as we speak.

But all is not lost. No-one expects perfection, after all. Just being better than the competition can reap massive benefits for advertisers. And as I’m about to point out, getting better than the competition doesn’t need to be difficult. There are opportunities everywhere.

Opportunities

Say you’re interested in visiting Sydney and want somewhere to stay. Load up Google, search for ‘Sydney hotels’ and look at the paid search results.

Of the 10 PPC ads, 9 mention the words ‘Sydney’ and ‘hotels’. Most of the ads are calling out to the user, “I have hotels in Sydney! Come to Me!” Most of the ads are relevant to your search.

But let’s say you know a little bit more about your Sydney hotel requirements. After all, you can’t be bothered clicking through each of the hundreds of paid search results (or the 22,900,000 organic results for that matter). Come to think of it, you are interested in going to Sydney next weekend, you your refine your search query.

Search for ‘weekend breaks in Sydney’ and look at the paid search results. Although most ads mention ‘Sydney’, not a single advertiser includes the words ‘weekend’ or ‘break’ in their ads. No-one is shouting out to the user, “Yes! I have weekend breaks in Sydney! Come to me!” Every ad appear to be a generic ‘Sydney Hotel’ ad that may or may not be relevant to your weekend requirements.

Suppose, instead, when searching for ‘weekend breaks in Sydney’, you saw one of the following ads:

Suppose they took you through to a special ‘weekend break’ page, specifically designed for people looking to stay at the hotel over the weekend. Along with suggestions of local Sydney sights, activities and restaurants that could easily be fitted in over a weekend were reviews from people staying at the hotel on Friday and Saturday nights.

Would you be more likely to consider this hotel in your plans? I know I might.

More opportunities

Okay, only 36 people searched for ‘weekend breaks in Sydney’ in June. But these were 36 people who knew what they were looking for and were delivered poor, generic, one-message-fits-all ads.

‘Weekend breaks in Sydney’ is just one example. Imagine all the hundreds of similar qualified searches people could make to find your products or services. 880 people searched for ‘Sydney CBD hotels’ in June, but most advertisers fail to mention ‘CBD’ or even their location in their ads. ‘Sydney hotels the rocks’ had 390 searches, but only one advertiser mentions the phrase ‘The Rocks’ in their ads. 73 people searched for ‘3 star hotels in Sydney’ but only a handful of advertisers mention ’3 star’ or ‘3*’ in their ads. These are people who know what they want are willing to part with their cash if they can find it.

It doesn’t take long to find hundreds of other examples of keywords that have significant search volume and are being poorly served. There are opportunities everywhere.

What’s more, as demand for better search results grows, people will start making more of these 3, 4, 5 and 6-word searches and expect better, relevant, more personalised results. The winners will be the advertisers who cater for them. The losers will be the ones who don’t.

So how do I go about improving the relevancy of my AdWords campaign?

Patience

I’m not going to pretend there is a quick overnight fix (because there isn’t). A highly relevant AdWords campaign takes patience, commitment and dedication.

Nor are there techniques that work for everyone. The whole purpose of this blog is to share with you the PPC techniques I have found to work in my experience, although I recognise they will be far from the be-all-and-end-all of paid search management so I welcome your ideas and comments. Paid search is an ongoing battle to become better and better, and it isn’t going to stop any time soon.

But to keep things nice and simple, here’s a quick 5 minute run-down of the essentials of creating a highly relevant PPC campaign:

Keyword Research

Research keywords that people are searching for. There are free tools out there, such as Google’s keyword tool, so use them. Build up a comprehensive keyword list. Not just with generic, high-volume keywords, such as ‘cheap Sydney hotels’, but also with long-tail keywords such as ‘cheap hotels in Sydney CBD’ and ‘cheap hotels Sydney Darling Harbour’. Long-tails can collectively be of significant volume and provide a great opportunity for tailored ads.

Then research negative keywords, lots of them. Why waste money on clicks you know are completely irrelevant? Use the keyword tool to identify keywords that might broad match to ‘cheap Sydney hotels’. Go through each result, making a note of anything you think is irrelevant. Is your Sydney hotel miles away from Sydney Airport? If so, add ‘airport’ as a negative keyword. Keep brainstorming negatives until you have at least a hundred.

Ad Group Structure

Once you have done your initial research, group your keywords into small, closely themed ad groups of generally no more than 20-30 keywords each. Write ad descriptions that are relevant to the ad group’s keywords and include the ad group’s keywords in your ads where possible. If you think you could write a more relevant ad for a keyword if the keyword was in its own ad group, split out that keyword into its own ad group and write a more relevant and tailored ad for it.

Think of the keyword as the question and the ad as the answer. Keep asking yourself, “If I searched for this keyword and saw this ad, is it answering my question?” If not, change it so it does.

Include offers and prices that are relevant to the keyword. In your ‘Sydney Hotels Christmas 2009′ ad group, how about mentioning Christmas 2009 prices or early booking discounts?

You’re trying to make your ads as relevant as possible to the user’s searches so think about how you could angle your products or services to appeal to users searching each of your keywords.

Next, deep-link your keywords to the most relevant page on your site. Don’t have a relevant landing page for a set of keywords? Write one.

Rinse and repeat until you have hundreds of ad groups, each with tailored ads and landing pages that match the keywords they contain.

Optimization

Then get optimising. Test new keywords. New ads. New landing pages. Two keywords in the same ad group getting a lot of volume? Split the two keywords out into separate ad groups and write new ads that better match those keywords.

Run search query reports to highlight searches your keywords have broad-matched and phrase-matched to. Are they relevant? If so, ad them as new keywords in new ad groups and write tailored ads for them. If not, add them as negative keywords to prevent your ads showing for them again.

It may seem like a lot of work but it’s worth it. With patience, your CTR will start to increase. So will your Quality Score. People will start to spend longer on your site and view more pages. Returning visitors will rise as people decide to come back. Conversion rates will grow and sales volume will increase.

The Holy Grail of relevancy is not something you can achieve overnight, or achieve at all for that matter. It is only something you can strive towards. PPC success favours the dedicated. So keep testing and optimising.